The city of Round Rock approved a memorandum of understanding June 9 with Urban Intownhomes to build 82 townhouses on the former Builders Gypsum Supply property downtown.
According to a presentation given by Round Rock Planning Director Brad Wiseman, the company will build three- and four-story units at the property aimed at attracting more residents to downtown.
The city will sell the property to Urban Intownhomes for $425,000 and the company will invest at least $18 million in the development of the residential units, according to the memorandum. The city will also waive development fees and intends to expedite the permitting process for the company.
According to the memorandum the company will build the 82 units in six years, but Wiseman said units could be available sooner because the company intends to build the units based on market demands, and the real estate market in the area is competitive.
“They want to start construction tomorrow because the market is hot,” Wiseman said.
The city bought the former Gypsum Builders Supply location in 2013 and helped the business relocate within the city through a $1 million economic incentive agreement. The city considered multiple uses for the location including retail, apartments and an outdoor music venue before settling on the townhome project.
The city also intends to use the southern portion of the property to extend McNeil Road eastward past where it terminates at Mays Street. Round Rock Transportation Director Gary Hudder said the engineering for the road project is underway.